Tauranga City Council is calling the local government review “timid and out of sync”.
It and Hamilton City Council said a “much bolder approach” was needed to take advantage of a “once-in-a-generation opportunity” to redefine local government, a joint statement from the councils said.
The Future for Local Government review proposes allowing 16-year-olds to vote, changing council terms from three years to four years, and more money for councillors.
Set up in 2021 by then Minister of Local Government Nanaia Mahuta, the independent panel released its 29 draft recommendations and a number of questions in November 2022 before its final report due in June.
Strengthening relationships between local and central government, as well as looking at the scope of what councils do in the community, were also key parts of the review.
The councils commissioned an independent analysis to look at the opportunities and challenges for growth metro councils. They have submitted this to the Local Government Review panel, as well as their own submissions.
The cities’ leaders said the draft report was “silent” on the issues and questions affecting their communities.
“This is our one chance to get this right and ensure that we put in place a local government system that will enable the housing, transport and social and cultural infrastructure growth our future communities need,” Tauranga City Council commission chair Anne Tolley said.
The councils wanted to see the resource management reform line up with the review of local government, ensuring community outcomes guide the allocation of roles and responsibilities and give local government the capabilities and resources needed to be successful.
Tolley said better alignment was needed between the review of local government, the resource management and three waters reform processes.
“These processes have the potential to be a significant agent of beneficial changes, but not as they stand.
“Our councils would like to see these reviews re-scoped, with a focus on aligning roles and responsibilities with outcomes; and providing the capability and resources needed for success.”
The independent analysis identified other areas important to metro councils including a two-tier local government system for regional or cross-regional governance to deal with issues that span territorial boundaries.
It called for an overhaul of the funding system with more flexible debt-to-revenue ratios, a longer-term approach to growth-infrastructure funding as well as better coordination of channels so it can be delivered faster.
It also called for funding commitments from Waka Kotahi New Zealand Transport Agency to be up to 10 years so that transport infrastructure planning was not “constrained” by a three-year funding window.
Recognition that the benefits of metro councils’ infrastructure investments extend beyond their boundaries was another issue raised.
The councils did agree with the review on increasing council terms to four years saying it would reduce “governance churn”.
Meanwhile, Hamilton mayor Paula Southgate said: “This is an opportunity to move beyond compromise arrangements and make some bold changes that will open the way for councils to make the tough decisions that will ultimately provide better outcomes for their communities.
“For high growth metros like Hamilton and Tauranga to be successful, we need a system where policy intent, planning and funding – three legs of the stool – are aligned to deliver wellbeing, and right now, we’re not seeing that.”
The Future for Local Government Review panel was approached for comment but did not respond in time for the deadline.